NI on Directors pay under the Primary Threshold

NI on Directors Pay under the Primary Threshold

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Just had a payment reminder from HMRC re unpaid NI from March 2016. The Company had 2 Directors in 15/16; one served for the whole year and was paid 8,060 over 12 months so no NI.

The other was appointed in December 2015 and was paid 2,000 a month from December 2015 to March 2016. So again below the 8,060 threshold.

However the payroll for the new Director showed no NI in December  but 163.8 in January, 240 in February and 240 in March. Is this correct? Does she not get a full 12 months NI free salary of 8,060 OR is the 8,060 pro rata'd for the 4 months only that she was a Director?

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RLI
By lionofludesch
25th Sep 2018 11:59

No she doesn't.

It's pro-rated from the date of appointment. Looks right if you're on the standard method of calculating directors' NI.

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